Category: Tax

At the end of the current fiscal year, 5 April 2012 for income tax payers and 31 March 2012 for companies, the current level of Annual Investment Allowance is being reduced from £100,000 to £25,000. If your accounting year end coincides with the fiscal year end this presents no computational difficulties as all qualifying expenditure, … Continued

We are all used to the idea that if you are late filing your self assessment tax return the penalty is fixed at £100. From 6 April 2011 a series of late filing penalties apply. So if you are late in filing your 2010/11 return (latest date for electronic filing is 31 January 2012) these … Continued

The recent decision by HMRC to introduce a new task force to tackle tax fraud and unpaid taxes in the restaurant trade will have many businesses concerned.  This decision follow a number of recent initiatives by HMRC to target specific business sectors and the restaurant sector now joins the target list which has included plumbers, … Continued

A UK VAT registered business may only claim a VAT refund from other EU countries where all the following conditions are met: The business is not VAT registered or liable to be VAT registered in the EU country in which the claim is to be made. The UK business does not have a place of … Continued

Tax losses are generally created when your expenditure is more than your income, or in the case of capital losses, when you buy an asset subject to capital gains tax and sell it for less than you paid for it. The position of limited companies is different to that of sole traders and partnerships. Companies … Continued

The recent increase in the amount of lifetime gains that can be sheltered from the main capital gains rate of 28% by claiming Entrepreneurs’ Relief, means that certain lifetime gains of up to £10m can now qualify for this relief and will reduce CGT payable to just 10% of the taxable gain. However to qualify … Continued

Summarised below are a number of changes and issues that have been recently publicised by HMRC including the following: From April 2011 employers with less than 50 employees must file starter and leaver forms electronically. Any Employer’s Annual return submitted after 19 May 2011 will now receive a late filing penalty. For 2011/12 and later, … Continued

The new rules detailed below will start from 6 April 2011 but will only apply to individuals who join a scheme on or after that date.  They will not apply to employees already in schemes by that date. The Government has announced that it intends to restrict the tax relief on childcare provided by employers … Continued

The system of penalties has been amended for late filing of personal, trust and partnership returns, and late payment penalties relating to tax years 5 April 2011, with effect from 6 April 2011. Late Returns: The basic penalty for late filing of a return will be £100.  There will no long be any reduction to … Continued

There have been a number of changes made to the FHL legislation recently, and these are summarised below: Foreign property For 2011/12 and later tax years property situated in an EEA Member State will qualify for FHL treatment, with all such properties bring pooled. Losses One of the main changes is the ability to relieve … Continued